Lee administration's first cabinet hearings draw criticism over lack of scrutiny SEOUL, July 19 (AJP) - South Korea's first cabinet confirmation hearings under President Lee Jae Myung concluded Friday amid widespread criticism that the process lacked proper verification of ministerial nominees. The five-day ‘super week’ hearings examined 16 cabinet nominees from July 14 to 18, but opposition lawmakers and critics described the proceedings as ineffective and superficial. The ruling party focused on defending candidates while the opposition struggled with internal conflicts and special prosecutor investigations. The main opposition People Power Party labeled five nominees as "unqualified" and demanded their withdrawal, including Kang Sun-woo for gender equality, Chung Dong-young for unification, Lee Jin-sook for education, Kwon Oh-eul for veterans affairs and Kim Young-hoon for labor ministries. However, all nominees appear likely to be confirmed without withdrawals. Both parties reached consensus on five nominees, adopting hearing reports for Bae Kyung-hoon for science and technology, Koo Yun-cheol for economy and finance, Cho Hyun for foreign affairs, Kim Jung-kwan for trade and industry, and Yoon Ho-jung for interior ministries. The unanimous decisions came after the opposition agreed to cooperate on trade negotiations with the United States. Yoon Ho-jung's report was adopted on the hearing day itself due to concerns about disaster response gaps following recent flooding. Justice Minister nominee Jung Sung-ho's report was adopted through a party-line vote after partisan clashes, including only the ruling party's assessment of qualification. At Friday's floor leaders' meeting, ruling Democratic Party leader Kim Byung-kee said all nominees should proceed without withdrawals, stating there were "no disqualifying issues." The ruling party treated confirmations as foregone conclusions throughout the hearings, while the opposition showed resistance against the legislative majority. Some nominees adopted a strategy of avoiding direct answers during questioning. Education Minister nominee Lee Jin-sook was later found to have notes suggesting she avoid direct answers and give evasive responses to difficult questions. Gender equality Minister nominee Kang Sun-woo repeatedly apologized for staff abuse allegations, becoming emotional during testimony. However, additional controversies emerged regarding false explanations and property disclosure omissions. Health Minister nominee Jeong Eun-kyeong's hearing received less attention despite opposition attacks, with the ruling party defending her while dismissing alleged criticism of profiting from trading stocks related to the COVID-19 as "fake news." Three more confirmation hearings remain scheduled, including the Constitutional Court Chief Justice nominee Kim Sang-hwan on July 21 and Land Minister nominee Kim Yun-duk and Culture Minister nominee Chae Hwi-young on July 29, with real estate and wealth controversies expected to dominate discussions. 2025-07-19 13:41:08

South Korea braces for fourth day of torrential rains as casualties mount SEOUL, July 19 (AJP) - Torrential rains that began pounding South Korea's central regions four days ago continued to wreak havoc across the nation, with casualties and infrastructure damage mounting. The Central Disaster and Safety Countermeasures Headquarters reported Saturday morning that the death toll remained at four, with two people still missing. The fatalities occurred in Gyeonggi Province's Osan city and South Chungcheong Province's Seosan and Dangjin cities, while two residents remain unaccounted for in Gwangju's North District. Infrastructure damage surged dramatically as floodwaters paved destruction across the peninsula. Public facilities took massive blow with 729 reported incidents, including 388 flooded roads, 133 cases of soil erosion, and 57 collapsed river structures. Private property damage reached 1,014 cases, encompassing 64 flooded buildings and 59 inundated agricultural areas. The relentless downpour forced around 7,000 residents from nearly 5,000 households across 72 municipalities in 13 provinces to flee their homes temporarily. Of those evacuated, about 2,800 people from roughly 2,000 households remained unable to return home as of Saturday morning. The transportation network buckled under the assault as well, with seven major railway lines suspended including the Gyeongbu line connecting Seoul to Busan and the Honam line linking Daejeon to Mokpo. Rail authorities halted services on additional routes spanning the peninsula's key arteries. Road networks faced widespread disruption as floodwater submerged 57 riverside roads, 12 underground passages, and 302 small bridges. Authorities also restricted access to 255 riverside areas, 170 riverside parking lots, and 22 camping sites. "Currently, heavy rain advisories and warnings are in effect across most of the nation, with very intense rainfall of 30 to 80 millimeters per hour expanding and intensifying the alerts," the disaster headquarters said. 2025-07-19 10:13:08

[[K-Tech]] EV sales surge in South Korea, signaling shift toward mass adoption SEOUL, July 18 (AJP) - Electric vehicle sales in South Korea soared by more than 40 percent in the first half of 2024, a surge that analysts say signals the country's EV market is beginning to break through the so-called “chasm” separating early adopters from the mainstream. A total of 93,569 new electric vehicles were registered between January and June, up 42.7 percent from 65,557 during the same period last year, according to data released Friday by the automotive data platform Car Is You. The increase of over 28,000 units year-on-year marks one of the strongest six-month performances for the industry to date. Analysts attribute the rapid expansion to a combination of demographic shifts, government subsidies, and a significant buildout of charging infrastructure. The growth was largely driven by buyers in their 30s and 40s — a key indicator that EVs are no longer confined to a niche segment. Consumers in their 40s accounted for the largest portion of private EV ownership, with 22,532 units, or 35.3 percent of total registrations. Drivers in their 30s followed with 16,130 vehicles, making up 25.2 percent of the market. Even drivers in their 20s showed increasing interest, registering 3,531 vehicles. The generational appeal of newer models was evident in the popularity of Kia’s compact electric SUV, the EV3. The vehicle ranked first among EV buyers in their 20s with 910 units sold, second among those in their 30s with 1,920, and also second among drivers in their 40s, who registered 2,218 EV3s. Industry observers point to a range of government incentives and infrastructure upgrades as key catalysts. Several local governments have increased financial support for EV purchases this year, helping to offset upfront costs. At the same time, the expansion of both slow and fast-charging stations has eased concerns about convenience and range. As of June, South Korea had 417,437 EV chargers in operation, nearly 1.5 times the number available two years ago, according to data released Friday by the Ministry of Environment. Analysts say the latest figures suggest that South Korea's EV market has entered a new phase — one characterized not by curiosity or novelty, but by widespread consumer buy-in. 2025-07-18 16:11:12

Lotte chairman orders sweeping overhaul as conglomerate confronts deepening crisis SEOUL, July 18 (AJP) - Shin Dong-bin, the chairman of South Korea’s Lotte Group, has ordered a sweeping business overhaul, calling for structural reform and long-term innovation as the retail-to-chemicals conglomerate faces what analysts describe as the most serious crisis in its history. The directive came during a rare two-day forum that concluded Thursday at the Lotte Human Resources Development Center in Osan, south of Seoul. The meeting brought together some 80 senior executives, including Shin’s eldest son, Executive Vice President Shin Yoo-yeol, in what insiders say was the most comprehensive top-level review since the group’s founding. At the center of Lotte’s woes is its petrochemicals arm. Lotte Chemical’s operating profit plunged nearly 64 percent year-on-year — from 2.59 trillion won ($1.9 billion) in 2023 to 916.8 billion won in 2024 — amid a sharp downturn in demand, rising raw material costs, and intensifying competition from Chinese producers. The group has begun liquidating non-core assets to ease financial pressure. It has reportedly pledged its iconic Lotte World Tower as collateral and sold its operations in Pakistan. It is also considering a merger of its naphtha cracking center with HD Hyundai Chemical to achieve cost synergies. “CEOs must anticipate how the business environment will evolve over the next decade and act with speed and precision,” Shin told executives, emphasizing a shift toward what he termed "PEST perspective management" — a framework focused on political, economic, social and technological change. The restructuring plan calls for Lotte Chemical to significantly reduce its reliance on low-margin basic materials, which currently account for more than 60 percent of revenue. The company will instead prioritize the expansion of high-value-added products, which now make up roughly 30 percent of sales. Lotte’s retail division is also set for a strategic overhaul. As legacy department stores and supermarkets lose ground to online platforms and a surge in competition from Chinese players, the company will pursue a “selection and concentration” strategy — focusing on core assets while exiting or consolidating weaker units. “The fatal mistake in corporate management is ignoring known problems — or worse, failing to recognize problems at all,” Shin said. “We must be prepared for the world five to ten years from now.” 2025-07-18 15:15:25

President Lee appoints former Doosan chairman to lead trade mission to Washington SEOUL, July 17 (AJP) - South Korean President Lee Jae Myung has tapped Park Yong-maan, the former chairman of Doosan Group, to head a special envoy delegation to the United States, ruling party officials said Thursday. The delegation, which is set to depart for Washington next week, includes Democratic Party lawmaker Han Jun-ho and Kim Woo-young, a former senior political aide. Park will serve as the chief envoy. The appointment comes at a critical moment in U.S.–South Korea trade relations, with Trump's tariffs set to take effect on August 1. Park, known for his deep ties to American business and policy circles, is expected to play a central role in advancing negotiations and easing tensions between the two allies. The choice of Park underscores President Lee’s continued reliance on private-sector leaders in shaping national policy. Since taking office, Lee has brought several former corporate executives into top government posts, reinforcing his industry-driven approach to governance. Among them are Ha Jung-woo, former head of AI innovation at Naver Cloud, who now serves as the presidential office’s first chief of AI Future Planning, and Han Seong-sook, former CEO of internet giant Naver, who was appointed Minister of SMEs and Startups. Park’s rapport with President Lee dates back to the 2022 presidential campaign, when the two held a series of private discussions that laid the foundation for a working relationship. Han Jun-ho served as Lee’s campaign operations chief, while Kim Woo-young was political coordination director during Lee’s leadership of the Democratic Party — both considered trusted members of the president’s inner circle. The Washington mission is part of a broader push by the Lee administration to reinforce South Korea’s global standing amid shifting trade and geopolitical dynamics. The presidential office has dispatched or is planning envoy missions to 14 countries, including Japan and China. 2025-07-17 15:36:40

Kia to equip upcoming EV5 with CATL batteries SEOUL, July 17 (AJP) - Kia, a subsidiary of Hyundai Motor Group, will use batteries made by China’s CATL in its upcoming EV5 electric compact SUV, expanding Hyundai’s reliance on Chinese battery technology. The EV5, scheduled to launch in September, will be equipped with CATL’s nickel-cobalt-manganese (NCM) battery packs, which have a capacity of 81.4 kilowatt-hours, according to Kia officials. NCM batteries, while more costly due to volatile raw material prices, offer higher energy density than the increasingly popular lithium iron phosphate (LFP) alternatives. The move marks Hyundai Motor Group’s latest expansion of its partnership with CATL, whose ternary battery technology is already used in Hyundai’s Niro and Kona electric models. It comes at a time of heightened geopolitical tension and shifting trade dynamics — particularly in the United States, where tariffs on Chinese-made vehicles and components have increased. Facing pressure from the so-called electric vehicle “market chasm,” where early adopter enthusiasm has cooled and mass-market demand has yet to fully materialize, Hyundai is recalibrating its supply chain to maintain pricing flexibility in key markets. Analysts say the use of Chinese batteries may offer a short-term solution for managing production costs. Kia’s EV5 will become the company’s fifth dedicated electric vehicle, following the EV6, EV9, EV3 and EV4. The vehicle was first revealed as a concept at the 2023 Shanghai Auto Show, with the production version debuting later that year in Chengdu. Mass production is expected to begin in the second half of 2025. The decision to deepen battery sourcing ties with CATL could also signal Hyundai’s broader strategy to diversify suppliers amid uncertain U.S. policy shifts and slowing EV adoption in several markets. 2025-07-17 14:24:51

KOGAS anchors Korea's energy strategy in age of AI, uncertainty Editor's Note: This article is the 27th installment in our series on Asia's top 100 companies, exploring the strategies, challenges, and innovations driving the region's most influential corporations. SEOUL, July 16 (AJP) - As artificial intelligence reshapes global energy consumption patterns, the Korea Gas Corporation (KOGAS) is placing a bold wager on liquefied natural gas. The state-run energy company reported this week that the first shipment of LNG from the Canada LNG project — in which it holds an ownership stake — is en route to South Korea. The milestone marks a strategic shift as the company looks to reposition LNG as a central pillar of the AI-powered economy. The Canadian cargo, expected to be cheaper than current imports from the Middle East, Australia, and the United States, underscores KOGAS’s efforts to diversify its sourcing amid intensifying geopolitical instability. The three regions currently account for more than 70 percent of the company's LNG portfolio. Executives are also weighing possible participation in the long-delayed Alaska LNG project, a move that could broaden supply lines while offering diplomatic leverage in trade talks with the United States. But the project remains mired in uncertainty, with industry analysts citing unresolved questions around financing, cost competitiveness, and commercial viability. Previous withdrawals by energy majors such as ExxonMobil and BP have raised red flags about its long-term potential. Founded in 1983 to ensure stable natural gas supplies, KOGAS began operations three years later at its Pyeongtaek terminal. The company has since grown into one of the world’s largest LNG importers, boasting the highest global storage capacity — 11.47 million kiloliters — and supplying about 80 percent of South Korea’s LNG needs. Over the decades, KOGAS has built a sprawling import network. It began sourcing from Qatar in 1999, followed by Oman, Yemen, Indonesia, and Australia. More recently, the company added supplies from Mozambique, expanding its footprint into Africa. Today, that diversification is more than an operational strategy; it is a geopolitical hedge. As energy markets become increasingly exposed to conflict, sanctions, and trade restrictions, KOGAS is seeking to secure supply lines for what it sees as a new kind of energy demand — one driven not by households. At a company-hosted forum on July 11, CEO Choi Yeon-hye laid out a vision for LNG in the age of artificial intelligence. “We will actively reflect the opinions provided by experts through the KOGAS Forum to further strengthen future energy security and drive innovation in the natural gas industry,” she said. Choi highlighted the potential for LNG-powered distributed generation to support data centers — a critical infrastructure layer as AI accelerates electricity consumption. To that end, the company is constructing a major LNG terminal in Dangjin, South Chungcheong Province. When completed in 2030, the facility will include 10 storage tanks and a full suite of port infrastructure. The first tank — at 270,000 cubic meters, the largest in South Korea — was topped off in May. Choi described the site as an “energy hub for the west coast” and a key component of national energy policy. Still, the company’s financial results reflect the shifting terrain of the global energy market. In the first quarter of this year, KOGAS reported revenue of 12.73 trillion won (about $9.24 billion), a modest year-over-year decline of 77.9 billion won. Sales volumes rose due to colder weather and industrial demand, but lower international prices weighed on returns. Operating profit fell by 87.7 billion won to 833.9 billion won, and net income declined to 367.2 billion won. Overseas projects, including those in Mozambique, helped cushion the blow. As the world balances the dual imperatives of energy security and digital transformation, KOGAS’s strategic pivot offers a glimpse into how traditional energy firms are adapting. By betting on LNG as a transitional fuel in a digital-first economy, the company is positioning itself not only as a supplier — but as an enabler of South Korea’s broader technological ambitions. 2025-07-17 10:23:37

[[K-Tech]] LG CNS ventures into insect farming using AI-powered breeding technology SEOUL, July 16 (AJP) - South Korean IT solutions provider LG CNS has begun construction on an artificial intelligence-powered insect farming complex in Gangwon Province. The groundbreaking ceremony for the facility — billed as an “insect smart factory” — was held Wednesday in the city of Chuncheon, with Gangwon Province Governor Kim Jin-tae and LG CNS Executive Vice President Kim Hong-keun in attendance. The factory will use advanced automation and AI-driven systems to breed, monitor, and harvest insects such as mealworms at industrial scale. By deploying its proprietary manufacturing automation platform, LG CNS aims to manage the entire production process — from breeding to quality control — through a unified, data-driven control system. At the core of the factory’s operations is an AI system designed to monitor insect growth stages in real time. The technology analyzes movement patterns and color variations to detect abnormalities or disease, identifying substandard or dead specimens before they can contaminate batches. The system is intended to solve a persistent challenge in traditional insect farming, where manual sorting is both labor-intensive and unreliable at scale. “LG CNS will deliver fundamentally differentiated value to customers by combining our automation innovation with the emerging insect industry,” said Kim, the company’s executive vice president. The Chuncheon facility is expected to produce roughly 700 tons of mealworms annually by the end of the year. The insects are widely used in animal feed, protein supplements, and biodegradable materials — key components in efforts to create more sustainable food and resource systems. While insect farming has long been touted as a potential solution to climate and food security issues, scaling production has proven difficult. LG CNS’s entry into the sector reflects a broader push among Korean tech firms to apply AI and automation to ecological and agricultural challenges. 2025-07-16 14:21:09

US beef exporters intensify lobbying as Korea weighs lifting age restrictions SEOUL, July 16 (AJP) - American beef exporters are intensifying their lobbying efforts to convince South Korea to lift its 16-year ban on U.S. cattle over 30 months old. This push comes as Seoul seeks leverage ahead of critical tariff negotiations with Washington. South Korea has maintained the 30-month age limit on American beef imports since the 2008 bovine spongiform encephalopathy (BSE), or "mad cow disease," crisis. Officials have cited a heightened risk of detecting BSE-linked hazardous materials in older cattle as the reason for the restriction. This barrier has become a central point of contention in U.S. trade pressure. On March 31, the Office of the U.S. Trade Representative (USTR) highlighted the beef age restriction as one of several non-tariff barriers in its annual National Trade Estimate (NTE) report. The report also noted, "In addition, Korea continues to prohibit the import of processed beef products, including ground beef patties, beef jerky, and sausage, regardless of age." The global landscape for beef imports has changed significantly in recent years. Japan lifted similar restrictions in 2019, followed by China in 2020 and Taiwan in 2021. This leaves South Korea, along with Russia and Belarus, as one of the few major markets still imposing age limits on U.S. beef. U.S. meat industry giants are engaging in what sources describe as comprehensive lobbying efforts targeting the Korean market. The U.S. Meat Export Federation suggests that lifting the age restriction could generate an additional $175 million in revenue for American exporters. Beyond beef, the apple market presents another point of contention. The U.S. has sought market access for its apples for 33 years, ever since filing a risk analysis request in 1993. Despite repeated American complaints, Korean quarantine authorities have consistently blocked these efforts. Domestically, regional governments are mobilizing opposition to agricultural concessions. The North Gyeongsang Province Council and Cheongsong County Council have issued formal statements demanding the immediate suspension of apple import reviews. Further protests are planned, with the farmers federation intending to demonstrate against non-tariff barriers outside the presidential office in Yongsan, Seoul. 2025-07-16 10:53:33

High-income YouTubers under crackdown over unreported earnings SEOUL, July 14 (AJP) - South Korea’s tax authorities have ramped up enforcement efforts against YouTubers and other online content creators, uncovering widespread tax evasion and imposing billions of won in penalties. According to data submitted to ruling party lawmaker Jung Tae-ho by the National Tax Service (NTS), audits were conducted on 21 YouTubers in 2024 alone, resulting in 8.9 billion won (approximately $6.45 million) in penalties. The intensified scrutiny reflects growing concern over tax compliance among high-earning online influencers. From 2019 through 2024, regional tax offices audited 67 YouTubers, levying a total of 23.6 billion won in penalties — an average of about 350 million won per creator. The figures encompass all types of business income, not solely revenue generated through YouTube. Tax enforcement has accelerated in recent years. While just 22 creators were audited over the four-year period between 2019 and 2022, authorities investigated 24 in 2023 and another 21 in 2024. During that same time, the average penalty per YouTuber rose sharply, exceeding 420 million won last year. Despite the rise in enforcement, tax authorities acknowledged limitations in tracking specific income streams, such as direct viewer donations. Officials said they do not maintain detailed records distinguishing between forms of income like "super chats" or voluntary bank transfers, which creators often label as "subscriptions" or "gifts." Regardless of terminology, such donations are taxable under Korean law. “Voluntary” viewer contributions — whether processed through platforms or transferred directly — must be reported as income, the NTS said. In a sign of broader digital enforcement, the NTS said it had expanded its scope this year to include 17 investigations into other online platforms. These include nine cases linked to sexually explicit broadcasts, five involving deepfake gambling sites, and three YouTube channels accused of spreading defamatory content for profit. Lawmaker Jung, who disclosed the findings, called for stronger safeguards to address gaps in online income reporting. “We need to encourage honest reporting and introduce institutional improvements to prevent blind spots in digital taxation,” he said. 2025-07-14 15:22:08